| With the number of foreclosures looming around each | | | | left. |
| and every neighborhood, buying one can provide | | | | 4) Avoid Paying Liens - Buying a foreclosure via a |
| numerous benefits to the home buyer. | | | | short sale will clear any liens that are on the property, |
| Many investors find it advantageous to purchase a | | | | such as tax liens, property taxes, and Homeowner |
| home via a lease to own agreement. The reason is | | | | Association fees. |
| because they don't have to put much money down | | | | 5) Getting the Best Price - Buying a foreclosure via a |
| and it helps to leverage the number of properties they | | | | short sale will also allow you to get the best price, |
| can purchase. But there are risks as there have been | | | | under current market value as you can get a |
| reports that payments made to the original | | | | discounted price on the distressed property. |
| homeowner never gets paid and the home is on its | | | | 6) Save on Closing Costs - Also purchasing a home |
| way to foreclosure. So beware that you have | | | | via a short sale, it is sometime possible to negotiate |
| arranged for controlled payments in a lease to own | | | | having the lender pay a portion of your closing costs. |
| purchase. | | | | 7) Not Having to Pay All Cash - One of the main |
| The safest way to purchase a property is via a short | | | | reasons a home is not purchased at auction is due to |
| sale. At the time of purchase, all liens would clear title | | | | the fact it has to be an all cash deal. |
| and financing is all in your control. Also, it allows for the | | | | 8) Arranging the Best Financing Terms -Not only can |
| purchase of a property at a discounted rate. | | | | you have time to arrange for financing with a lender if |
| 1) Easy to Find a Seller - In today's market it is easy to | | | | you purchase a home before it goes to auction, but |
| find a homeowner in distress and desperate to sell. | | | | you can sometimes negotiate financing terms with the |
| Many will settle for almost anything just to get out of | | | | homeowner. |
| their situation. | | | | 9) Deals on Personal Property - It is possible to |
| 2) Saving the Homeowner's Credit - A homeowner | | | | negotiate to purchase the homeowner's personal |
| wants to avoid a foreclosure to save their credit | | | | property at a fair discount. For example: washing |
| history. It's better for them to have a few late | | | | machine, refrigerator, furniture, light fixtures, televisions, |
| mortgages on their credit report rather than a | | | | and automobiles. |
| foreclosure. | | | | 10) Achieving Positive Cash Flow - If you are able to |
| 3) See Before you Buy - If you buy a foreclosure | | | | purchase a home under market value with good |
| before it goes to auction, you are able to inspect the | | | | financing terms, you could achieve a positive cash flow |
| home before making a decision. You will know exactly | | | | in a shorter amount of time if not immediately. |
| what needs to be repaired and the condition it was | | | | |